Digital currency trading platform, Gemini has issued its latest update with respect to its ongoing feud with Genesis, one of the subsidiaries of the Digital Currency Group (DCG).
Highlights of the Gemini Update
While the past month was filled with a lot of drama that saw what Gemini called a “misinformation campaign” orchestrated by DCG, it noted that it has been hard at work to improve the sufficiency of the DCG contribution contemplated in Genesis’s “agreement in principle” with DCG.
In its explanation, Gemini highlighted that back in August, it reached an “agreement in principle” with DCG and the Unsecured Creditors Committee (UCC) regarding DCG’s contribution to the Genesis estate. The firm said this agreement in principle has not received the full backing of the broader industry because it has been deemed insufficient by experts.
With this deal already tagged a dead-end at birth, creditors are now pressing on DCG to introduce a plan that can help return as much value to those Genesis owe as much as possible.
With the firm now compelled by its creditors, Gemini said DCG is yet to accept the revised terms whose terms are bound to expire by October 6. Looking ahead, the crypto exchange indicated that Genesis is looking at pushing out a new proposal that will see more contribution from DCG or permit the distribution of assets within the Genesis Estate and allow creditors to pursue the remaining deficit through litigation against DCG.
Ultimate Goal in Gemini vs DCG Conflict
While many are keenly following the trend in the Gemini vs DCG case, it is important not to lose sight of the ultimate goal which is to make Gemini Earn users whole. About $900 million was owed by Genesis to Earn customers when it filed for bankruptcy earlier this year.
The implosion of Genesis and the liquidity strain has forced Gemini to wind down the Earn program. While the timeline for the resolution of the current legal feud is unknown at this time, Gemini has reiterated its commitment to remain steadfast in its recovery plans and to update its community every step of the way.